Edalati

I. BACKGROUND

In October 2014, Edalati sued Kaiser for defamation and invasion of privacy–false light. She alleged that Kaiser sent an unsolicited letter to some of her patients falsely stating she had been excluded from participation in all federal health care programs as of October 4, 2013, and referring the patients to a website of the Office of Inspector General. Edalati alleged that Kaiser made the statement knowing of its falsity or in reckless disregard for its truth and without undertaking an adequate investigation into its truth. Kaiser moved to strike the complaint, arguing the alleged defamatory statements were protected activity under section 425.16.3 “Here, Kaiser sent out the written member-notifications at issue in connection with its responsibilities as a Medicare Part D Sponsor” pursuant to guidelines promulgated by the federal Centers for Medicare & Medicaid Services (CMS). Specifically, CMS guidelines required Part D Sponsors to review lists of excluded providers on a monthly basis and to notify those providers’ patients that federal law prohibits Kaiser from using federal funds to cover the cost of any drugs prescribed by those providers. Kaiser…